Honorable Robert Bunda

President of the Senate

Twenty-Second State Legislature

Regular Session of 2003

State of Hawaii

Sir:

Your Committee on Health, to which was referred S.B. No. 1068 entitled:

begs leave to report as follows:

The purpose of this measure is to extend the authorization to issue special purpose revenue bonds to assist Honolulu Neighborhood Housing, Inc., until June 30, 2007.

Your Committee received testimony in support of this measure from Honolulu Neighborhood Housing, Inc.

Act 296, Session Laws of Hawaii 1999 (Act 296), authorized the issuance of up to $80,000,000 in special purpose revenue bonds to assist Honolulu Neighborhood Housing, Inc., to construct a senior citizen lifecare retirement community. The authority to issue bonds under Act 296 expires on June 30 of this year.

Your Committee finds that Honolulu Neighborhood Housing, Inc., has made significant progress in the design and plans for Kapiolani Akahi, a senior center to be built in Waikiki. Due to many delays in locating additional financing for the project, however, construction cannot begin before the June 30 deadline. Your Committee believes that the project is worthwhile and that the deadline for issuance of the bonds should be extended.

As affirmed by the record of votes of the members of your Committee on Health that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 1068 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.